Receipts of producer milk at pool plants
regulated under Order No. 6 during November
1979 totaled 63.8 million pounds. Deliveries
were up 4.8 million pounds from the previous
month and 7.7 million pounds above the same
month of the previous year.
During November, 61.2 million pounds of
producer milk was classified as Class I --
up 5.7 million pounds from the previous month
and up 8.1 million pounds from November 1978.
The percentage of producer milk in Class I
was 95.86' in November compared to 94.11% the
previous month and 94.61% a year ago.
The uniform price to producers during
November was $14.09 per cwt. -- up 28 cents
from October 1979 and $1.45 above November
1978.

TAMPA BAY

Producers delivered 43.7 million pounds
of milk to pool plants regulated under Federal
Order No. 12 during November 1979. Producer
milk deliveries were up 2.3 million pounds
from October and were up 0.5 million pounds
from November 1978.
Producer milk classified as Class I milk
and used in the computation of the uniform
price to producers totaled 41.0 million
pounds. Class I producer milk totaled 37.7
million pounds in October 1979 and 39.0
million pounds during November a year ago.
Class I milk was 93.77% of the total producer
milk during November compared to 91.14% last
month and 90.26% during November of last year.
The uniform price per cwt. for November
milk was $14.18, an (Contifued on page 7)

1979 .

Outlook For Sales and Stocks

Despite rising prices, commercial use of milk
and dairy products has remained strong this year.
During the first 8 months of the year commerical
use posted an increase of almost 1I percent from
the year-earlier levels. The year-to-year in-
crease was buoyed by strong sales of other-than-
American type cheese, up about 6 percent from last
year's strong sales. Sales of American cheese and
butter were also up 2 and 3 percent, respectively.
Fluid milk sales and ice cream were about the same
as last year while cottage cheese and nonfat dry
milk use were both down. Total commercial use
during the last 4 months of 1979 probably will be
close to a year ago. If this is the case, total
commercial use for the year would exceed 120 bil-
lion pounds and would top last year's record by
about 1 percent.

Commercial stocks of dairy products have
been well above last year's relatively low levels
since May. Through mid-1979, they were being re-
built from the very low levels of late 1978.
Since June, increased milk production and seasonal
additions to stocks contributed to the increase in
commercial holdings. Anticipation of the new sup-
port prices which became effective October 1 like-
ly was also a factor. October 1 holdings of both
milkfat and solids-not-fat are estimated to be up
over a fifth from last year. Commercial stocks of
butter were up about 76 percent from the previous
year, while commercial holdings of nonfat dry milk
are estimated to be up about a half. Commercial
stocks of American cheese and other-than-American
varieties were up 17 and 10 percent, respectively.

Even if commercial use holds as anticipated
this fall, commercial stocks will still be large
at the start of 1980. (Continued on page 6)

- -r i"7" +u.

1, I ij I ,il 1

CLASS I MILK
CLASS i MILK
CLASS H MILK

TOTAL PRODUCER MILK

OTHER SOURCE MILK

TOTAL MILK

CLASS I MILK
CLASS I MILK
CLASSm MILK

TOTAL

Computation of the Uniform Prices

for Producer Milk

November 1979

Order 6 Order 12
% OF PRODUCT %OF PRODLICT %
TOTAL POUNDS TOTAL POUNDS T

* 10 cents higher at plants located in or south of Flagler. Levy, Marion or Volusia Counties.

U.S. Milk Production and Prices*

NOVEMBER MILK PRODUCTION
2 PERCENT ABOVE LAST YEAR
November milk production totaled
9.60 billion pounds, 2 percent above
November 1978. Accumulated production,
January-November 1979, was 114 billion
pounds, 1 percent above both the cor-
responding period a year earlier and
2 years ago.
Production per cow averaged 892
pounds, 28 pounds more than a year
earlier and 34 pounds above November
1977.
Total milk cows averaged 10.8
million head, off 1 percent from last
year.

* Reprinted from "Milk Production",
U.S.D.A., December 13, 1979.

DAIRY PRODUCTS *
NOVEMBER 1979

BUTTER
October butter production
was 76.8 million pounds, 25% above
September and 91 more than October
1978.

AMERICAN CHEESE
Production totaled 172 mil-
lion pounds, 3% above last month
and 10% above a year earlier.

TOTAL CHEESE OUTPUT
Excluding cottage cheese, pro-
duction was 304 million pounds, up
4% from the previous month and 9%
above the previous year.

OTHER PRODUCTS
Following are changes in Oct-
ober production compared to a year
ago:

Class IMilk
Whole Milk
Skim Milk and Lowfat Milk
Flavored Milk and Milk Drinks
Buttermilk
Total Packaged Class I Disposition
In the Area
Out of the Area
Transfers to Nonpool Plants
Total Class I Disposition
Closing Inventory (Packaged)
Unaccounted for Milk
Total Class I Milk
Percent Change from Last Year
Less Nonpool Recipts y1
PRODUCER MILK IN CLASS I

However, with short term interest
rates sharply higher in recent
weeks, some additional sales to
CCC (not specifically related to
supply-demand conditions) could
occur as the industry aligns
stock levels with expected sales--
taking into account storage costs
and CCC sell-back policy. While
USDA stocks of butter and nonfat
dry milk remained large on October
1, both were down about a fourth
from a year earlier.

USDA purchases under the
price support program were small
through the first 9 months of 1979.
Through September, CCC net removals
totaled about 56 million pounds of
butter and 12 million pounds of
cheese for a milk equivalent total
of only 1.3 billion pounds, down
over a half from the same period
last year. Proportionately more
nonfat dry milk than butter was
purchased, but the 187 million
pounds purchased were nearly a
third less than the same period of
1978.

The CCC purchase picture may
be changing, however. CCC pur-
chased all 3 products--butter,
cheese, and nonfat dry milk--during
October. Last year during October
only small amounts of nonfat dry
milk were purchased, while butter
was sold back to the industry for
unrestricted use.

With milk production increas-
ing, continued increases likely,
and a recession likely to have an
impact on sales in coming months--
there will be sharp increases in
CCC removals from this year's low
level. While CCC removals in 1980
are not expected to approach the
high levels of 1977, per unit sup-
port prices are higher. Therefore,
the increase in costs associated
with any increase in net removals
will be proportionately greater
than the increase in removals.

Reprinted from "United States
and World Outlook for Dairy",
November 8, 1979.

Farm Costs and Prices*

PRICES RECEIVED INDEX UP 1 POINT
PRICES PAID INDEX UNCHANGED

The November Index of Prices Received by Farmers increased
1 point (G percent) to 237 percent of its January-December 1967
average, according to the Crop Reporting Board. Contributing most
to the increase since October were higher prices for broilers, eggs,
oranges, tomatoes and milk. Lower prices for cattle, corn, grape-
fruit, lemons and wheat were partially offsetting. The index was 21
points (10 percent) above a year ago.

The mid-month Index of Prices Paid by Farmers for Commodities
and Services, Interest, Taxes and Farm Wage Rates was unchanged from
October at 256. Lower prices for livestock feeds were offset by
higher prices for other production items and the family living com-
ponent. The index was 31 points (14 percent) above a year earlier.

The Ratio of the Index of Prices Received to the Index of
Prices Paid, including Interest, Taxes, and Farm Wage Rates was 93
for the month of November 1979. The ratio was up 1 point from the
previous month and down 3 points from the same period a year ago.

increase of 30 cents from the pre-
vious month and $1.54 above November
of last year.

SOUTHEASTERN FLORIDA

Receipts of producer milk at
pool plants regulated under Federal
Order No. 13 totaled 60.9 million
pounds of milk during November 1979.
Compared to the previous month,
receipts of producer milk were down
2.6 million pounds and 3.4 million
pounds below November 1978.
In the November equalization
pool, 58.7 million pounds of milk
was classified as Class I. Class I
producer milk was down 1.0 million
pounds from last month, and was 0.2
million pounds below November 1978.
Class I milk was 96.33% of the
total during November compared to
93.92% the previous month and 91.64%
during November of the previous year.
The uniform price to producers
under Order No. 13 for November
milk was $14.38 per cwt. The uni-
form price was up 31 cents from
October and was $1.50 above Novem-
ber 1978.

PRODUCER SUMMARY

Under the three Florida milk
orders, 439 producers delivered
168.4 million pounds of milk to
pool plants. This compared to
434 producers and 163.9 million
pounds during the previous month
and 416 producers and 163.5
million pounds during November 1978.
Producer milk deliveries in Novem-
ber were up 2.8% from October and
were 3.0% above November of last
year.
The average milk delivery
per producer was 12,714 pounds
per day for all producers deliver-
ing to plants under Federal Orders
6, 12, and 13. The average daily
delivery per producer was 9,217
pounds under Order No. 6, 10,614
pounds under Order No. 12, and
27,627 pounds under Order No. 13.

1978 Avg. 9.57 9.29 12.14 12.02 12.24 12.02 12.44 12.26
a/ As reported for the month.
b/ Used in the computation of Class I prices for the month.
10 cents higher ar plants located in or south of Flagler. Levy, Marion or Volusia Counties.